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The following details are provided by Ferrous Foundry Company: Initial investment $5,000,000 Discount rate 15% Yearly cash inflows 1 $1,268,000 2 $1,350,000 3 $2,406,000 4
The following details are provided by Ferrous Foundry Company: Initial investment $5,000,000 Discount rate 15% Yearly cash inflows 1 $1,268,000 2 $1,350,000 3 $2,406,000 4 $1,162,000 PV of $1: 13% 14% 15% 1 0.885 0.877 0.87 2 0.783 0.769 0.756 3 0.693 0.675 0.658 4 0.613 0.592 0.572 What is the NPV of the project? O A. $590,000 B. $624,318 C. $(628,428) D. $(594,941)
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